New Waterstone(US:WSBF)2026-01-28 21:00Financial Performance - Consolidated net income for the quarter ended December 31, 2025, was $7.7 million, an increase of $2.5 million, or 48.1%, compared to $5.2 million for the same quarter in 2024[1]. - Net income for the year ended December 31, 2025, was $26,402,000, a 41.6% increase from $18,688,000 in 2024[13]. - Basic earnings per share for Q4 2025 was $0.44, compared to $0.28 in Q4 2024, reflecting a 57.1% increase[13]. - Net income for the Community Banking Segment was $6,998 thousand in December 2025, compared to $6,916 thousand in September 2025, representing a growth of 1.18%[20]. Income and Revenue - Net interest income rose to $15.5 million for the quarter ended December 31, 2025, reflecting a $2.6 million, or 20.4%, increase from $12.9 million in the same quarter of 2024[4]. - Total interest income for Q4 2025 was $30,112,000, an increase of 3.6% from $29,052,000 in Q4 2024[13]. - Noninterest income for Q4 2025 was $21,459,000, representing a 12.9% increase compared to $19,005,000 in Q4 2024[13]. - Net interest income after provision for credit losses increased to $16,269,000 in Q4 2025, up 30.5% from $12,468,000 in Q4 2024[13]. Asset and Liability Management - Total assets as of December 31, 2025, were $2,259,507,000, up from $2,209,608,000 in 2024, indicating a growth of 2.3%[15]. - Total deposits increased to $1,437,272,000 in 2025, a rise of 5.7% from $1,359,897,000 in 2024[15]. - Total liabilities increased to $1,914,644 thousand in December 2025 from $1,878,306 thousand in September 2025, an increase of 1.93%[18]. Loan and Credit Quality - Average loans held for investment increased by $30.3 million, or 1.8%, to $1.71 billion compared to the same quarter in 2024[4]. - Loan originations increased by $64.0 million, or 13.6%, to $534.6 million for the quarter ended December 31, 2025, compared to $470.7 million in the same quarter of 2024[6]. - The allowance for credit losses on loans was $17,478,000, down from $18,247,000 in 2024, indicating improved asset quality[15]. - Nonperforming assets as a percentage of total assets was 0.29% at December 31, 2025, slightly up from 0.28% at December 31, 2024[4]. Efficiency and Operational Metrics - The efficiency ratio improved to 49.23% for the quarter ended December 31, 2025, down from 51.54% in the same quarter of 2024[6]. - The efficiency ratio for the Community Banking Segment improved to 49.23% in December 2025 from 48.94% in September 2025, showing enhanced operational efficiency[20]. - Total compensation and employee benefits increased by $1.7 million, or 12.4%, to $15.5 million during the quarter ended December 31, 2025, compared to $13.8 million in the same quarter of 2024[6]. Margins and Yields - The Community Banking segment achieved a net interest margin of 2.89% for the quarter, up 47 basis points from 2.42% in the prior year[4]. - The net interest margin for Q4 2025 was 2.89%, an increase from 2.42% in Q4 2024, reflecting better interest income management[17]. - The average yield on total interest-earning assets was 5.54% in December 2025, slightly up from 5.53% in September 2025[18]. Segment Performance - Net interest income for the Community Banking Segment rose to $15,521 thousand in December 2025, up from $14,617 thousand in September 2025, an increase of 6.18%[20]. - Total noninterest income in the Community Banking Segment decreased slightly to $1,305 thousand in December 2025 from $1,359 thousand in September 2025, a decline of 3.96%[20]. - Loan originations in the Mortgage Banking Segment were $534,646 thousand in December 2025, a slight decrease from $539,404 thousand in September 2025, down by 1.40%[22]. - The gross margin on loans sold in the Mortgage Banking Segment was 3.80% in December 2025, compared to 3.87% in September 2025, indicating a decrease of 0.07 percentage points[22].